This almost sounds like an April Fool's Joke, but we are nowhere near April. According to multiple reports from major news organizations like Reuters, CNBC and others, Lenovo may actually be in final talks with Google to purchase Motorola for $2.91 Billion USD. According to "sources close to the matter" this would be Lenovo's way of buying themselves into the lucrative but difficult to break into U.S. smartphone market. Here's a quote with more of the details,

Lenovo is in the final stages of talks to buy the Google division that includes smartphones Moto X and Moto G as well as certain patents, and an announcement could come as soon as Wednesday, the people said.

The Chinese firm will use a combination of cash and stock as well as deferred payments to finance the deal with Google, the people said, asking not to be named because the matter is not public.

Lenovo is being advised by Credit Suisse Group while Lazard Ltd advised Google on the transaction, the people said.

Click to expand...

This came way out of left field and blind-sided us, but in many ways doesn't seem that surprising. From the beginning, Google really only wanted Motorola to get hold of their patents so they could defend against Apple and Microsoft. It's been pretty clear that Motorola as a company doesn't really fit into Google's business model. Perhaps Google realized they want to focus on being a software and services company. Motorola is primarily a hardware company, which requires a different business style than Google is used to. Google has done a remarkable job so far in insulating themselves from Motorola in regards to the other OEMs in the Android world, but how long will they be able to keep up that unnatural "firewall?"

This move also looks good for Lenovo on several levels. Lenovo wants into the U.S. smartphone market and what better way to do that than to start with the pioneer of mobile phones. Even the new approach that Motorola has taken recently by offering the Moto X and Moto G for discounted prices seems to fit very well with the way Lenovo does business. If this report turns out to be true, this could be a win-win for Lenovo, Motorola, Google, the other Android OEMs and the consumer. Share your perspective.

This is Google making nice with its OEM partners, who were always very leary of the Moto/Google combo.

Bad news for Android, I think, is that I'd expect Lenovo to push a lot more WinMo devices from Moto.

Now what's really shocking - Google paid $12.5B for Moto, and are selling it for $3B? I know they wanted the patents, but that's a pretty big hit....ok, Google is retain the patents and license them to Lenovo.

I'll bet this was Google's long-term plan the whole time. Take over Moto to get the patents, restructure to get the company into a potentially better business model/strategy, sell it off to someone who can make it work for them better...

I doubt it, but it's even possible Google and Lenovo planned this years ago...

Food for thought. The USofA has blocked both Huawei and ZTE from importing phones to these shores over security concerns about spying. With Snowden's revelations about the NSAs unscrupulousness. We should even be more leery of China's willingness to exact revenge. Just saying they may get banned here as well.

On the bright side, maybe Lenovo will put SD cards back into Moto phones!

This could be really good for Moto, and the consumers. If pc and phone are converging, I think Lenovo understands one size does not fit all and might give us the hardware combinations we keep crying for. Sure, Samsung and Sony sell computers, too, but Lenovo sells at least 3X as many as either of them.

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